Aramco bolsters global venture capital programme with $4bn funds injection
SUMMARY
This injection propels Aramco's overall venture capital commitment to $7.5bn, inclusive of the existing $500bn venture capital fund, Wa’ed Ventures. [Image: Aramco]
By Shardul SharmaEnergy giant Saudi Aramco on January 17 announced a $4bn boost to its global venture capital arm, Aramco Ventures. The decision will more than double the capital initially allocated to Aramco Ventures, from $3bn to $7bn.
This injection propels Aramco's overall venture capital commitment to $7.5bn, inclusive of the existing $500bn venture capital fund, Wa’ed Ventures. Notably, Wa’ed Ventures is dedicated to nurturing the startup ecosystem within Saudi Arabia.
The escalation of investment underscores Aramco's evolving approach to technology and innovation, reflecting its vision to catalyze disruptive technologies, diversify business opportunities, and foster collaborations with pioneering startups.
“Innovation is key to addressing some of the fundamental challenges facing the world today, including the energy transition,” Ahmad Al Khowaiter, Aramco executive vice president of technology & innovation, said. “Through Aramco Ventures, we aim to support pioneers with big ambitions, and ultimately help bring their ideas to life. By injecting an additional $4bn in funding over the next four years, we intend to provide the financial backing required to take game-changing solutions to the next level.”
Before the new capital allocation, Aramco Ventures managed three funds. These are a Digital/Industrial Fund, which stood at $500mn, investing in technologies of strategic importance to Aramco; the Prosperity7 Fund with $1bn, investing in disruptive technology ventures beyond the energy sector; and the Sustainability Fund, which stood at $1.5bn and invests in start-ups with the potential to support Aramco’s ambition to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions across its wholly-owned and operated assets by 2050.
